Weekly chronicle & sentinel. (Augusta, Ga.) 1866-1877, December 16, 1874, Image 1
OLD SERIES—YOL. LIU!. HEW SERIES—KOL XUVIII. Chronicle anti Sentinel^ WEDNESDAY. DECEMBER 16,1874. THIS PRESIDENT'S MESSAGE. To the exclusion of a great deal of other matter, we publish this morning the President’s Message to Con gress as telegraphed to the Chboxiclk ant> Sentinel. We procured its trans mission to us specially that our readers might be furnished as soon as possible with this important dooument in full In view of the present disastrous condi tion of the country financially—the stringency of money, the prostration of trade and the paralysis of industries— and of the recent remarkable revolution which has taken place in political af fairs, the message of President Grant has been looked forward to with great anxiety; for it was believed that the ut teranees of the Executive would have much to do with shaping financial legis lation—the party of which he is the head still retaining its large majority in the present Congress—and framing the future policy of the Republican organi zation. The President has given, as its im portance demanded, the first place in his message to the subject of finance. It is evident that the present Congress will be forced to decide between the conflict ing theories of hard money and infla tion. If the members were disposed to wards non-action, trusting that trade and commerce would adjnst themselves without legislative interference, Gen. Gkant is determined that such a pro gramme shall not be c rried out. He is strongly in favor of a return to specie payments, believing that in resumption will be found a panacea for all our finan cial ailments. He recommends the re peal of the legal tender act, to take effect at a fixed date, and the pay ment in coin on demand of all United States currency outstanding. It will be seen that the views of the President and of the Secretary of the Treasury coin cide on this subject. Both wish hard pan and both agree upon even the details of resumption. If Congress shall de clare in favor of a return to specie, a plan of resumption similar to that which is proposed by the President and Mr. Bristow will probably be adopted. In treating of our foreign relations the most significant portion of the mes sage is that which speaks of Cuba and the progress of the insurrection in that unhappy island. It is plainly intimated that the time has come for foreign inter vention, in which, from the magnitude of her commercial dealings ”ith the Island, the United States must tako the lead. It is evident that the President is in favor of annexation and that he thinks the pear ripe and ready to fall. In the meantime it is somewhat mortifying to oontrast the conduct of the United States with that of Great Britain in re lation to the Virginius, and to reflect that while the former Government has obtained ample reparation, the blood of the Amerioan victims to Spanish oruelty still goes unavenged. Gen. Grant still attempts to mako his active partisan interference with the af fairs of Louisiana, his overthrow of the legal government of that State and the erection of a usurpation in its stead, ap pear but the simple enforcement of a law whoso provisions he was com pelled to execute. The falsity of this pretense has been so often and effectually exposed that it needs no ad ditional eomments at our hands. He hastens to join in the now crusade against the South which has been proclaimed by the Radical leaders by repeating the stale slanders manufactured Attor ney-General Williams and the Depart ment of Justice, aud by the suggestion of more outrage committees and parti san reports. While he has declined to aid in the overthrow of the Arkansas government his sympathies are evident ly with usurpation in that State also.— His idea of the power of conventions to bind the people is either absurd, or else this is a government by the people with the people left out. We may expeot n j vigorous effort, countenanced and sus tained by tho Executive, during the present session of Congress to put Arkansas in the hands of Brooks and his corrupt associates. The recommeudation of the restora tion to the pension rolls of Southern swrvivors of the war of 1812 is a grace ful act of justice, which, though small in itself, will be fully appreciated by the Southern people. Altogether the mess age is much more moderate in sentiment and language than we had expected from Gen. Grant at this time. RESTRICTIONS OF SUFFRAGE. The letter of our Atlanta correspond ent gives a novel view of the Convention question. Ho says that there are those who wish the holding of a Convention postponed, in order that the colored men may be disfranchised. We do not think that day will ever come. The his tory of the world shows that the right to vote onoe given has neyer been taken away. We do not see how tho colored men can be deprived of the right to vote unless tho same restriction be ap- ■ plied to the whites. The sooner the dis- j •cussion of such absurdities oeases the better. JOURNALISM AS A BUSINESS. In commenting ivpon the failure of a newspaper manager, the St. Louis Olobe tells a plain truth in the following words: "The business of journalism will continue to be an invitiDg field for experiments to those who have a large amount of money and a large amount of egotism. A man who, having edited a newspaper until he was forty, should ■ suddenly announce himself a lawyer, ! would be regarded as a fool by the legal j profession; and yet we often hear of j lawyers of forty making sudden preten- j sions to journalism. There is an idea that the business of editing requires no _ apprenticeship; that editors come forth from law offices and colleges fully armed for the profession, like Pallas from the brow of Jove. It is a mistake; there is not in America to-day a single journalist of national reputation who has not de voted more time and more hard work to his profession than, with equal fitness and applicatson, would have made him , a great lawyer or a good doctor. And . yet ninety out of every hundred men you meet on the street will hesitate about carrying a hod or making a pair of shoes, whereas, there will probably not be one in the hundred who can't, ac cording to his own judgment, edit any newspaper in the country better than it is edited, no matter in what manner or by whom." It Las been estimated that of 12,- 000,000 women in America 11,000,000 ■wear calico dresses, more or less; that the spirit of economy has, daring the past year, induced them to forego one dress a piece from their usual outlay ; that the average calico dress contains eleven yards, and that consequently there has been a loss to the trade by ' this retrenchment of 121,000,000 yards. This is nearly the entire produet of all the mills of Massachusetts for a year. The Beecher-Tilton case has been postponed to Monday. The Pittsburg puddlers are on a strike, and four hundred furnaces are cold, fifteen thousand men are idle. FROM WASHINGTON. The Vacant Judgeships, i Washington, December 7. —The Pres ident, in conversation to-day, said he had three vacant district judgeships to fill, namely, in Alabama, Arkansas and Louisiana. It was probable he might be successful in selecting a suitable ap pointee for Alabama from that State, but as to the other States there was more difficulty, and he might, therefore, be forced to appoint persons not now resident in them. As to Arkansas, those best fitted for the place were either in favor of the Garland government or de sired its total overthrow. Our Royal Visitor. An officer of the army or navy he said would "bo appointed to look after the \ comfort of the KiDg of the Hawaiian Is- j lands and suite during their sojourn in ! Washington. They will be located at a j hotel, the Government paying the ex- 1 penses. The President will entertain j the King at a state dinner in addition to | the courtesies to be extended to him by j the Secretary of Btate. This will be the I first visit of a King to this country. Bristow's Report. Bristow in his report says the sinking fund is over twenty millions behind. The Secretary not only takes strong ground in favor of specie payments, but sets forth a definite plan for reaching the same. He recommends the repeal of the legal tender act at a fixed day, as to contracts thereafter made at,d except as to official salaries and ordinary ex penditures of the Government under existing appropriations. He recom mends that authority be given for the immediate issue of convertible bonds bearing a low rate of interest. He asks that a day may be fixed for resumption, not more limited than three years—at the end of that time the Secretary to be authorized to raise gold by selling bonds in such amounts as may beoome neces sary from time to time to keep the Treasury in condition to redeem green backs as presented. He recommends free banking as a part of his plan for re sumption, but this branch of the subject is -not elaborated. It is recommended that fractional currency be replaced by silver, and to accomplish this the Sec retary desires to set all the mints at work coining silver, and as rapidly as it is produced tho fractional currency to be recalled and destroyed, beginning with the smallest denomination. The Secretary also asks that coining gold be made ns free in the United States as it is in London, in order to prevent the ex portation of bullion for coining. The, Secretary does not regard the Treasury Department as a proper place for the adjudication of cotton cases. These are for the most of complicated character and require the taking of much evidence and judicial investigation. He, there fore, recommends that all cotton cases be withdrawn at once from the jurisdic tion of tho Treasury aud turned over to the Courts. Great economy is recommended in expenditures for public buildings. The Secretary re commends that Congress go over appropriations and estimates for these works with great oare, with a view to reducing some and wholly suspending others. He recommends that all veri ties of Government notes, bonds and stamps be made exclusively at the Trea sury Department. Concerning Internal Revenue the Secretary recommends that the tax be taken off bank checks, watch es, cosmetics and drugs, and, to meet this loss, that an additional tax of ten cents per gallon be imposed on whisky. This will raise revenue a little greater than is now received from the articles enumerated. The practical workings of putting tea and coffee on the free list has been fully examined by the Treasury Department, and carefully prepared tables of prices in foreign markets and prices to consumers for periods subsequent to taking off the tax show that while there has been a de crease of revenue on this account the removal.of the tax has simply added to the price in foreign markets, aud has not benefitted the consumer here in the least. The Secretary recommends the restoration of this tax. Meeting of Congress. The Senate and House assembled to day, both quite full. The usual com mittee was appointed to inform the President of their readiness to hear from him. President’s Message—His Financial Views—An Advocate of Hard-Pan— How It is to be Brought About—For eign Affairs—Condition of the South— Louisiana and Arkansas—The De partments. * The President’s message was received aud read to the two Houses as follows : Executive Department, j Washington, D. C., December 7,1874. ( To the Senate and House of Represen tatives: The Panic and its Results. Since the convening of Congress one year ago tho nation has undergone a prostration in business and industries such as has not been witnessed with us for many years. Speculation as to the causes for this prostration might be in dulged in without profit, because as many theories would be advanced as there would be independent writers— those who expressed their own views, without borrowing. Upon the subject. Without indulging in theories as to the oanse of this prostration, therefore, I will call your attention only to the fact and to some plain questions as to which it would seem there should be no disa greement. During this prostration two essential elements of prosperity have been most abundant—labor and capital. Both have been largely unemployed. Where security has been undoubted capital has been attainable at very mod erate rates. Where labor has been wanted it has been found in abundance at cheap rates, compared with what the necessaries and comforts of life could be purchased with the wages demanded. Two great elements of prosperity, there fore, have not been denied us. A third ; might be added : our soil and climate are unequalled within the limits of any contiguous territory under one nation ality for their variety of products to feed and clothe a people, and in the amount of surplus to spare to feed less favored people. Therefore, with these facts in view, it seems to me that wise statesmanship at this session of Con gress would dictate legislation, ignoring the past, directing in proper channels these great elements ol prosperity to any people. Debt—debt abroad—is the only element that can, with a sound currency, enter into our affairs to cause any continued depression in the indus tries and prosperity of our people. A great conflict for national existence made necessary, for temporary purposes, the raising of large sums of money from whatever source attainable. It made necessary in the wisdom of Congress, and I do not doubt their wisdom in the premises regarding the necessity of the times, to devise a system of national currency which it proved to be impossible i to keep on a par with the recognized currency of the civilized world. This i begot a spirit of speculation involving | an extravagance and luxury uot required i for the happiness or prosperity of a peo ’ pie, and involving, both directly and in | directly, foreign indebtedness. The currency, being of fluctuating value and therefore unsafe to hold for legiti i mate transactions requiring money, be came a subject of speculation in itself. ! These two causes, however, have in | volved us in a foreign indebtedness, contracted in good faith by borrower and lender, which should be paid in coin and according to the bond agreed upon when the debt was contracted— gold or its equivalent. The good faith ■of the Government cannot be violated towards creditors without national dis grace. The Remedy. Bat our commerce should be encour-1 aged, American ship building and carry- i iDg capacity inoraased, foreign markets ! sought for products of the soil and man- i ufactories, to the end that we may be | able to pay these debts. Where anew market can be created for the sale) of our products, either of the j soil, the mine, or the manufactory, j anew means is discovered of utilizing j our idle capital and labor to the advau- j tage of the whole people. But, in my judgment, the first step towards accom plishing this object is to secure a cur rency of fixed stable value, a currency good wherever civilization reigns—one which if it becomes superabundant with one people will find a •market with some other—a currency which has as its basis the labor necessary to produce it, which will give to it its value. Gold and sil ver are now the recognized mediums of exchange the civilized world over, and to this we should return with the least practicable delay. In view of the pledges of the American Congress, when our present Legal tender system was adopted and debt contracted, there should be no delay, certainly no unne- cessary delay, in fixing by legislation a method by which we will return ito specie. To the accomplishment ; of this end I invite your special atten j tion. I believe, finally, that there can be no prosperous and permanent revival | of business and industries until a policy ; is adopted, with legislation to carry it , out, looking to a return to a specie basis. I It is easy to conceive that the debtor ; and speculative classes may think it of value to them to make so-called money abundant until they can throw a portion of their burden upon others, but even these, I believe, would be disappointed in the result if a course should be pur sued which will keep in doubt the value of the legal tender medium of exchange. A revival of productive industry is needed by all classes, by none more than the holders of property of whatever sort with debts to liquidate from realization upon its sale. But admitting that these two classes of citizens are to be benefit ed by expansion, would it be honest to give it ? Would not the general loss be too great to justify such relief? Would it not be just as honest and prudent to authorize each debtor to issue his own legal tenders to the extent of his liabili ties ? Than to do this would it not be safer, for fear of over issues by un scrupulous creditors, to say that all debt obligations are obliterated in the United States, and now we commence anew, each possessing all he has at the time free from incumbrance. These propositions are too absurd to be enter tained for a moment by thinking or honest people, yet eveiy delay in prepara tion for final resumption partakes of this dishonesty and is only less in degree as the hope is held out that a convenient season will at last arrive for the good work of redeeming our pledges to com mence. It will never come, in my opin ion,except by positive action byC|ongress or by national disasters, which wiil de stroy for a time, at least, the credit of the individual and the State at large. A sound currency might be reached, by total bankruptcy and discredit of the integrity of the nation and of individ uals. I believe it is in the power of Congress at this session to devise such legislation as will renew confidence, re vive all the industries, start us on a career of prosperity to last for many years, and to save the credit of the na tion and of the people. Steps towards the return to a specie basis are the great requisites to this devoutly-to-be-sought for end. There are others which I may touch upon hereafter. A nation dealing in a currency below that of specie in value labors under two great disadvan tages: First, having no use for the world’s acknowledged mediums of ex change, gold and silver. These are driven out of the country because there is no demand for their use. Second, the medium of exchange in use being of a fluctuating value, for after all it is only worth just what it will purchase of gold and silver, metals having an intrinsic value just in proportion to the honest labor it takes to produce them. A larger margin must be allowed for profit by the manufacturer and producer. It is months from the date of production to the date of realization. Interest upon capital must be eharged, and risk of fluctuation in the value of that which is to be re ceived in payment added. Hence, high prices acting as a protection to the for eign producer, who receives nothing in exchange for the products of his skill aud labor except a currency good at a stable value the world over. It seems to me that nothing is clearer than that the greater part of the burden of existing prostration for the want of a sound financial system falls ucon the working man, who must, after all, produce the wealth, and the salaried man who super intends and conducts business. The burden falls upon them in two ways : by the deprivation of employment, and by the decreased purchasing power of their salaries. It is the duty of Congress to devise the method of correcting the evils which are acknowledged to exist, and not mine. But I will venture to suggest two or three things which seem to me as absolutely necessary to a return to specie payments. The first great requisite in a return to prosperity is that the legal ten der clause to the law, authorizing the issue of currency by the National Govern ment, should be repealed, to take effect as to all contracts entered into after a day fixed in the repealing act—not to apply, however, to payments of salaries by Government or for other expenditures now provided by law to be paid in currency, In the interval pend ing between repeal and final resumption provision should be made by which the Secretary of the Treasury can obtain gold as it may become necessary from time to time from the date when specie redemption commences. To this might and should be added a revenue sufficient ly in excess of expenses to insure an ac cumulation of gold in the Treasury to sustain redemption. I commend this subject to your carefpl consideration, believing that a favorable solution is at tainable, and that if reached by this Congress that the present and future generations will ever gratefully remem ber it as their deliverer from the thral dom of evil and disgrace. With re sumption free, banking may be au thorized with safety, giving the full pro tection to bill holders which they have under existing laws. Indeed, I would regard free banking as essential. It would give proper elasticity to the cur rency. As more currency should be re quired for the transaction of legitimate business, new banks would be started, and in turn banks would wind up their business when it was found that there was a superabundance of currency. The experience and judgment of the people can best decide just how much curreney it required for the transaction of the business of the country. It is unsafe to to leave the settlement of this question to ■>, Congress, the Secretary of the Treasury or the Executive. Congress should make the regulations under which banks may exist, but should not make banking a monopoly by limiting the amount cf redeemable paper currency that shall be authorized. Such im portance do I attach to this subject and so earnestly do I commend it to your at tention, that I give it prominenco by in troducing it at the beginning of the message. Foreign Relation. During the past year nothing has oc curred to disturb the general friendly and cordial relations of the United States with other powers. The corres pondence submitted herewith between the Government and its diplomatic rep resentatives, as also with there presenta tives of other countries, shows a satis factory condition of all questions be tween the United States and the most of those countries, and, with few excep tions, to which reference is hereafter made, the absence of any points of dif ference to be adjusted. The notice di rected by the resolution of Congress of June 17, 1874, to be given to terminate the Convention of July the 17th, 1858, between the United States and Belgium, has been given and the treaty wiil ac cordingly terminate on the Ist day of July, 1875. This Convention secured to certain Belgian vessels entering the ports of the United States exceptional privileges which are not accorded to our own vessels. The other features of the Convention have proved satisfactory aud have tended to the cultivation of mutually beneficial commercial inter course and friendly relations between the two countries. I hope that negotia tions which have been invited will re- I suit in the celebration of another treaty | which may tend to the interests of both i countries.” Our relations with China j continue to be friendly. During the | past year the fears of hostilities between China and Japan, growing out of the landing of an armed ! force upon the Island of For- mosa by the latter, has occasioned uneasiness. It is earnestly hoped, how ever, that the difficulties arising from this cause will be adjusted, and that the advance of civilization in these Empires may not be retarded by a state of war. In consequence of the part taken by certain citizens of the United States in this expedition, our representatives in those countries have been instructed to impress npon the Governments of China and Japan the firm intention of this country to maintain strict neutrality in the event of hostilities, and to carefully prevent any infraction of law on the part of onr citizens. In connection with this subject I call the attention of Con gress to a generally conceded fact that the great proportion of the Chinese im migrants who come to onr shores do not come voluntarily to make their homes with ns and their labor productive of general prosperity, bnt come nnder contracts with head men, who own them almost absolutely. In a worse form does this apply to Chinese women. Hardly a perceptible percentage of them perform any honorable labor, bnt they are brought for shameful purposes to the disgrace of the communities where settled, and to the great demoralization of the youth of those localities. If this evil practice can be legislated against it will be my pleasure aa well as duty to AUGUSTA', GA., WEDNESDAY MORNING, DECEMBER 16, 1874. enforce any regulation to secure so de sirable an end. It is hoped that nego tiations between the Government of *Japan and the treaty powers looking to the further opening of the Empire and to the removal of various restrictions npon trade and travel may soon produce the results de sired t> which cannot fail to enure to the benefit of all parties. Having on pre vious occasions submitted to the con sideration of Congress the propriety of the release of the Japanese Government from the further payment of the indem nity under the Convention of October 22d, 1864, and as no action had been ta ken thereon, it became my duty to re gard the obligations of the Convention .as in force, and as the other powers in terested had received their portion of the indemnity in full,the Minister of the United States in Japan has, in behalf of this Government, received the remainder of the amount due to the United States under the Convention of Simonseky. I submit the propriety of applying the in come of a part, if uot the whole, of this fund to the {education in the Japanese langaage of a number of yonng men, to be under obligations to serve the United States Government for a specified time as interpreters at the Legation and the Consulates in Japan. A limited number of Japanese youths might, at the same time, be educated in our own vernacular, and mutual benefits would result to both Governments. The importance of having our own citizens competent and familiar with the language of Japan, to act as interpreters and in other capaci ties connected with the Legation and the Consulates in that country, cannot readily be overestimated. The amount awarded to the Government of Great Britain by the Mixed Commission, or ganized under the provisions of the treaty of Washington in settlement of the claims of British subjects arising from acts committed between April 13th, 1861, and April 9th, 1865, became pay able under the terms of the treaty within the past year, and was paid upon the 21st day ol September, 1874. In this connection I renew my recommendation, made at the opening of the last session of Congress, that a special court be created to hear and determine all claims of aliens against the United States aris ing from acts committed against their persons or property during the insurrec tion. It appears equitable that oppor tunity should be offered to citizens of other States to present their claims, as well as to those British subjects whose claims were not admissable under the late commission, to the early decision of some competent tribunal. To this end I recommend the necessary legisla tion to organize a court to dispose of all claims of aliens of the nature referred to in an equitable and satisfactory man ner, and to relieve Congress and the De partments from the consideration of these questions. The legislation neces sary to extend to the colony of New Foundland certain articles of the treaty of Washington, of the Bth of May, 1871, having been had a protocol to that effect, was Bigned in behalf of the United States and of Great Britain on the 28th day of May last, and was duly proclaimed on the following day. A copy of the proclamation is submitted herewith. A copy of the report of the Commissioner appointed under the act of March 19th, 1872, for surveying and marking the boundary between the United States and the British posses sions from the Lake of the Woods to summit of the Ilocky Mountains is here with transmitted. I am happy to an nounce that the field work of the com mission has been completed, and the entire line from the northwest corner of the Lake of the Woods to the summit of the Rocky Mountains has been run and marked upon the surface of the earth. It is believed that the amount remaining unexpended of the appropriations made at the last session of Congress will be sufficient to complete the office work. I recommend that the authority of Con gress be given to the use of the unex pended balance of the appropriation in the completion of the work of the com mission, hi making its report and pre paring the necessary maps. The court known as the Court of Commissioners of Alabama Claims, created by an act of Congress of the last session, has organiz ed and commenced its work and it is to be hoped that the claims admissible under the provisions of the act may be speedily ascertained and paid. It has been deemed advisable to exercise the discretion conferred upon the Executive at the last session by accepting the con ditions required by the Government of Turkey for the privilege of allow ing citizens of the United States to hold* real estate in the for mer country, and by assenting to a certain change in the jurisdiction of courts in the latter. A copy of the proc lamation upon these subjects is herewith communicated. There lias been no ma terial change in our relations with the independent States in this hemisphere, which were formerly under the dominion of Spain. Marauding on the frontiers between Mexico and Texas still fre quently takes place, despite the vigilance of the civil and military authorities in that quarter. The difficulty of checking such trespasses along the course of a river of such a length as the Rio Grande, and so often fordable, is obvious. It is hoped that the efforts of this Govern ment will be seconded by those of Mex ico to the effectual suppression of these acts of wrong. From a report upon the condition of the business before the American-Mexican Joint Claims Com mission, made by the agent on the part of the United States, aud dated October 28, 1874, it appears that of the 1,017 claims filed on the part of citizens of the United States, 483 had been finally de cided, and 75 were in the hands of the umpire, leaving 462 to be disposed of, and of the 998 claims filed against the United States, 726 had been finally de cided, one was before the umpire and 271 remained to be disposed of.— Since the date of such report other claims have been disposed of, re ducing somewhat the number still pending, and others have been pass ed upon by the arbitrators. It has be come apparent, in view of these figures, and of the fact that the work devolving on the umpire is particularly laborious, that the commission would be unable to dispose of the entire number of claims pending prior to the first day of Feb ruary, 1875—the date fixed for its expi ration. Negotiations are pending look ing to the securing of the results of the decisions which have been reached, and to a further extension of the commision for a limited time, which it is confident ly hoped will suffice to bring all the business now before it to a final close. The strife in the Argentine Republic is to be deplored, both on account of the parties thereto, and from the probable effects on the interests of those engaged in the trade tq. that quarter, of whom the United States are among the prin cipal. As yet, so far as I am aware, there has been no violation of our neu trality rights, which, as well as our du ties in that respect, it shall be my en deavor to maintain and observe. It is with regret I announce that no further payment has been received from the Government of Venezuela on account cf awards in favor of citizens of the United States. Hopes have been enter tained that if that Republic could es cape both foreign and civil war for a few years its great national resources would enable it to honor its obligations. Though it is now understood to be atpeace other with countries a serions insurrec tion is reported to be in progress in an important region of that Republic. This may be taken advantage of as another reason to delay the paymentof the dues of our citizens. The deplorable strife in Cuba continues without any marked change in the relative advantages of the contending forces. The insurrection continues, but Spain has gained no su periority. Six years of strife give to the insurrection a significance which cannot be denied. Its duration and the tenacity of its adherents, together with absence of manifested power of sup pression on the part of Spain, cannot be controverted and may make some posi tive steps on the part of other powers a matter of self necessity. I had confi dently hoped at this time to be : able to announce the arrangement of some of the important ques tions between this Government and that of Spain, but the negotiations have been protracted. The unhappy intes tine dissensions of Spain command our profound sympathy, and must be ac cepted as perhaps a cause of some de lay. An early settlement, in part at least, of the questions between the Gov ernments is hoped. In the meantime, awaiting the results of immediately pending negotiations, I defer a further and fuller communication on the snbject of the relations of this country and Spain. I have again to call the atten tion of Congress to the unsatisfactory condition of the existing laws with refer ence to expatriation and the elec tion of nationality. Formerly, amid > conflicting opinions and decisions, it was difficult to exactly determine how J far the doctrine of perpetual allegiance was applicable to citizens of the United States. Congress, by the act of the 27th of July, 1868, asserted the abstract right of expatriation as a fundamental prin ciple of this Goverrtnent. Notwith standing such assertion and the ne cessity of frequent application of the principle, no legislation has been had defining what acts or formalities shall work expatriation or when a citizen shall be deemed to have re nounced or to have lostghis citizenship. The importance of snob definition is obvious. The representatives of the United States in foreign countries are continually called uponfto lend their aid and the protection of tqe United States to persons concerning the good faith or the reality of whose citizenship there is at least great question. In some cases the provisions of the treaties furnish some guide, in others it seems left to the person claiming the benefits of citizen ship—while livingjin a for. ign country, contributing in no manner to the per formance of the duties of a citizen of the United States, and without intention at any time to return and undertake those duties—to use the claims to citizen ship of the United States simply as a shield from the performance of the ob ligations of a citizen elsewhere. The status of children born of American parents residing in a foreign country, of American women who have married aliens, of American citizens residing abroad where such question is not re gulated by treaty, are sources of fre quent difficulty and discussion. Legisla tion on these and similar questions, and particularly defining when and under what circumstances expatriation can be accomplished, or is to be presumed, is especially needed. In this connection I earnestly call the attention of Congre.-s to the difficulties arising from fraudu lent naturalization. The United States wisely, freely and liberally offers its cit izenship to all who may come in good faith to reside within its limits, on their complying with certain prescribed rea sonable and simple formalities and con ditions. Among the highest duties of the Government is that to afford firm, efficient and equal protection to all its citizens, whether native born or natural ized. Care should be taken that a right carrying with it such support from the Government should not be fraudulently obtained, and should be bestowed only upon full proofs of a compliance with the laws, and yet frequent instances are brought to the attention of the Govern ment of illegal and fraudulent natural ization, and of the unauthorized use of certificates thus improperly obtained. In some cases the fraudulent character of the naturalization has appeared on the face of the certificate itself. In others examination discloses that the holder has not complied with the law, and in others certificates have been obtained where the persons hold ing them not only were not entitled to be naturalized, but had not even been within the United States at the time of the pretended naturalization. Instances of each of these classes of fraud are discovered at our Legations, where the certificates of naturalization are presented either for the purpose of obtaining passports or in demanding the protection of the Legation. When the fraud is apparent on the face of such certificates, they are taken up by the rep resentatives of the Government and for warded to the Department of State. But even the record of the Court in which the fraudulent naturalization occurred remains, and duplicate certificates are obtainable. Upon the presentation of these for issue of passports or in de manding protection of the Government, the fraud some times escapes notice and such certificates are not unfrequent ly used in transactions of business,to the deception and injury of innocent parties. Without placing any additional obstacles in the way of obtainment of citizenship by tho worthy and well intentioned for eigner who comes in good faith to cast his lot with ours, I earnestly recom mend further legislation to punish frau dulent naturalization and to secure the ready cancellation of the record of every naturalization made in fraud. Since my last annual message the ex change has been made of the ratification of reaties of extradition with Belgium, Equador, Peru and Salvador, also of a treaty of commerce and navigation with Peru, and one of commerce and con sular privileges with Salvador, all of which have been duly proclaimed,as has also a declaration with Russia with reference to trade marks. The Revenue. The report of the Secretary of the Treasury, which by law is made directly to Congress and forms no part of this message, will show the receipts and expenditures of the Government for the last fiscal year, the amount received from each source of revenue and the amount paid out for eaoh of the departments of Govern ment. It will be observed from this re port the amount of receipts has been but §234,488,230 for the fiscal year ending June 30, 1874, and that for the current fiscal year tho esti mated receipts over expenditures will not much exceed nine millions of dol lars. In view of the large national debt existing and the obligation to add one per cent, per annum to the sinking fund, a sum amounting now to over $34,000,000 per annum, I sub mit whether the revenues should not be increased or the expenditures dim inished to reach this amount of of surplus—not to pro ride for the sink ing fund is a partial failure to comply with the contracts and obligations of the Government. At the last session of Congress a very considerable reduction was made in rates of taxation and in the number of articles submitted to taxa tion. The question may be asked whether or not in some instances un wisely. In connection with this subject, too, I venture the opinion that the means of collection of the revenue, especially from imports, have been so embarrassed by legislation as to make it questionable whether or not large amounts are not lost by failure to col lect, to the direct loss of the Treasury and to the prejudice of the interests of honest importers and tax payers. The Secretary of the Treasury in his report favors legislation looking to an early re turn to specie payments, thus support ing views previously expressed in this message. He also recommends economy in appropriations; calls attention to the loss of revenue from repealing the tax on tea and coffee without benefit to the consumer; recommends an increase of ten cents a gallon on whisky, and further that no modification be made in the banking and currency bill passed at the last session of Congress, unless modifi fication should become necessary by reason of the adoption of measures for returning to specie pay ments. In these recommendations I cordially join. I would suggest to Con gress the propriety of readjusting the tariff so as to increase the revenue, and at the same time decrease the number of articles upon which duties are levied. Those articles which enter into bur manufactures, and are not produced at home, it seems to me should be entered free. Those articles of manufacture which we oroduca a constituent part of but do not produce the whole, that part which we do not produce should enter free also. I will instance fine wool dyes, &c. These articles must be imported to form a part of the manufacture of the higher grades of woolen goods. Chemi cals used as dyes, compounded in medi cines and used in various ways in manu factures, come under this class. The in duction, free of duty, of such wools as we do not produce, would stimulate the manufacture of goods requiring the use of those we do not produce, and, there fore, would be a benefit to home produc tion. There are many other articles en tering into home manufactures which we do not produce ourselves, the tariff up on whioh increases the cost of producing the manufactured article. All correc tions in this regard are in the direction of bringing labor and capital in harmony with each other and of supplying one of tho elements of prosperity so much needed. The report of the Secretary of War, herewith attached and forming a part of this message, gives all the infor mation concerning the operations, wants and necessities of the army, and con tains many suggestions and recommend ations which I commend to your special attention. There is no class'of Govern ment employees who are harder worked than the army officers and men; none who perform their tasks more cheerfully and efficiently, and under circumstances of greater privations and hardships. Legislation is desirable to render more efficient this branch of the public ser vice. All the recommendations of the Secretary of War I regard as judicious, and I especially commend to yonr atten tion the following: The consolidation of Government arsenals; the restoration of mileage to officers traveling under orders; the exemption of money re ceived from the sale of subsistence stores from being covered inte the Treasury; the use of appropriations for the purchase of subsistence stores without waiting for the beginning of the fiscal year for which the appro priation is made; for additional appro priations for the collection of the tor pedo material; for increased appropria tions for the manufacture of arms; for relieving the various States from indebt edness for arms charged to them during the rebellion; for dropping officers from the rolls of the army without trial for the offense of drawing pay more than once for the same period; for the dis couragement of the plan to pay soldiers by checks; and for the establishment of U professorship of rhetorio and English literature at West Point. The reasons for these recommendations are obvious, and are set forth sufficiently in the re port attached. I also recommend that the status of staff corps of the army be fixed, where it has not already beA done, so that promotions may be made and vacancies filled as they occur in each grade when reduced below the number to be fixed by law. The neces sity for such legislation is specially felt now in the pay department. The num ber of officers in that department is in adequate to the performance of the du ties required of them by law. The effi ciency cf the navy has been largely in creased during the last year. Under the impulse of foreign complications which threatened us at the commence ment of the last session of Congress most of onr efficient wooden ships were put in condition for immediate service, and the repairs of our ironclad fleet were pushed with the utmost vigor. The result is that most of these now are in an effective state, and need only to be manned and put in commission to go at once into service. Some of the new sloops authorized by Congress are al ready in commission, and most of the remainder are launched and wait only the completion of their machinery to enable them to take their places as part of our effective force. Two iron torpedo ships have been completed during the last year, and four of our large double turreted* iron clads are now- undergoing repairs. When these are finished every thing that is useful of our navy as now authorized will be in condition for ser vice, and with the advance in the science of torpedo warfare the American navy, comparatively small as it is, will be found at any time powerful for the pur poses of a peaceful nation. Much has also been accomplished during the year iD aid of science,- and to increase the sum of general knowledge and further the interests of commerce and civiliza tion. Extensive and much needed soundings have been made for hydro graphic purposes, and to fix the proper routes of ocean telegraphs. Further surveys of the great Isthmus have been undertaken anjl oompleted, and two ves sels of the navy are now employed in conjunction with those of England, France, Germany and Russia in obser vations connected with the tran sit of Venus, so useful and interesting to the scientific world. The -estimate for this branch of the public services do not differ materially from those of last year. Those for the gen eral support of the service being some what less, and those for permanent im provements at the various stations rather larger than the corresponding es timates made a yearjago. The regular maintainence and a steady increase in the efficiency of this important arm in proportion to the growth of our mari time incercoursee and interests,is recom mended to the attention of Congress. The use of the navy in time of peace might be further utilized by direct au thorization of *he employment of the naval vessels in explorations and surveys of the supposed navigable waters of other nationalities on this continent, and specially the tributaries of the two great rivers of South- America, the Oronoaca and the Amazon. Nothing prevents under existing laws such ex plorations, except that expenditures must be made in such expeditions be yond those usually provided for in the appropriations. The field designated is unquestionably one of interest and one capable of large development of com mercial interests advantageous to the peoples reached, and to those who may establish relations with them. The Mails. Education of the people entitled to exercise the right of franchise I regard essential to general prosperity every where, and especially so in Bepublics where birth, education or previous conditions does not enter into ac count in giving suffrage. Next to the public school the post office is the great agent of education. Over our vast territory the rapidity with which new sections are being settled, thus increasing the carrying ot mails in a more rapid ratio than the increase of receipts is not alarming. The report of the Postmaster-General herewith attach ed shows there was an increase of revenue in his department in 1873 over the previous year of $1,674,411 and an increase of cost of carrying the mails and paying employees of $3,041,468 91. The report of the Postmaster-General gives interesting statistics of his depart ment, compares them with the corres ponding statistics of a year ago, showing a growth in every branch of the depart ment. A Postal Convention has been concluded with new South Wales, an exchange of postal cards established with Switzerland and the negotiations pending for several years past with Prance have terminated in a convention with that country, which went into effect last August. An International Postal Congress was convened in Berne, Switzerland, in September last, at which the United States was represented by an officer of the Post Office Department of much experience and qualification for the position. A convention for the es tablishment of an International Postal Union was agreed upon and signed by the delegates of the countries represent ed, subject to the approval of the proper authorities of these countries. I respect fully direct your attention to the report of the Postmaster-General and to his suggestions in regard to an equitable adjustment of the question of compen sation to railroads for carrying the mails. The Condition of the South. Your attention will be drawn to the unsettled condition of affairs in some of the Southern States. On the 14t,h of September last the Governor of Louis iana called upon me as provided by the Constitution and laws of the United States to aid in suppressing domestic violence in that State. This call was made in view of a proclamation issued on that day by D. B. Penn, claiming that he was elected Lieutenant-Governor in 1872, and calling upon the militia of the State to assemble and drive from power the “usurpers,” as he designated the officers of the State government. On the next day I issued my proclama tion commanding the insurgents to dis perse withing five days from the date thereof, and subsequently learned that on that day they had taken forcible pos session of the State House. Steps were taken by me to support the existing and recognized State government, bnt before the expiration of the five days the in surrectionary movement was practically abandoned and the officers of the State government, with minor exceptions, re sumed their powers and duties. Con sidering that the present State adminis tration of Louisiana has been the only government in that State for nearly two years, that it has been tactily acknowl ed and acquiesed in as such by Congress and more than once expressly recog nized by me, I regarded it as my clear duty, when legally called upon for that purpose, to prevent its overthrow by an armed mob under pre tense of fraud and irregularity in the election of 1872. I have heretofore called the attention of Congress to this subject, stating that on account of the frauds and forgeries committed at the said election, and because it appears that returns thereof were never legally canvassed, it was impossible to tell thereby who were chosen, but from the best sources of information at my com mand I have always believed the present State officeer received a majority of the legal votes actually cast at that election. I repeat what I said in my special mess age of February 23, 1872, that in the event of no action of Congress. I must continue to recognized the government heretofore recognized by me. I regret to say that with preparations for the late election decided indications appear ed in some localities in the Southern States of a determination by acts of vio lence and intimidation to deprive citi zens of the freedom of the ballot because of their political opinions, Banda of men, masked and armed, made their ap pearance. White Leagues and other societies were formed. Large quanti ties of arms and ammnnitic i were im ported and distributed to these organi zations. Military drills, with menacing demonstrations, were held and with all these murders enough were committed to spread terrer arneug these wkeee politi cal aotion was to be suppressed, if possible, by these intolerant and criminal proceedings. In some places oolored laborers were compelled to vote according to the wishes of their employers under threats of discharge if they acted otherwise, and there are too many instances in which, when these threats were disregarded, they were romorsely executed by those who made them. 1 understand that the fifteenth amendment to the Constitution was made to prevent this and a like state of things and the act of May 31st, with amendments, was passed to enforce its provisions—the aim of both being to guarantee to aU citizens the right to vote and protect them in the free enjoy ment of that right. Enjoined by the Constitution (to take care that the laws be faithfully executed), and convinced by undoubted evidence that violations of said act had been committed and that widespread and flagrant disregard of it was contemplated, the proper officers were instructed to prosecute the offend ers, and troops were stationed at con venient points to aid these officers if necessary in the performance of their official duties. Complaints are made of this interference by Federal authority, bnt.if said amendment and act do not provide for such interference under the circumstances as above stated, then they are without meaning, force or effect, and the whole scheme of colored en franchisement is worse than mockery and little better than a crime. Possi bly Congress may find it due to truth and justice to ascertain by means of a committee whether the alleged wrongs to colored citizens for political purposes are real or the reports thereof were manufactured for the occa sion. The whole number of troops in the States of Louisiana, Alabama, Geor gia, Florida, South Carolina, North Car olina, Kentucky, Tennessee, Arkansas, Mississippi, Maryland and Virginia, at the time of the election, was 40,802. This embraces the garrisons of all the forts from the Delaware to the Gulf of Mexico. Another trouble has arisen in Arkansas. Article 13 of the Constitu tion of that State (which was adopted in 1868, and upon the approval of which by act of Congress the State was restored to representation as one of tho States of the Union) provides in effect that before amendments proposed to this Constitu tion shall become a part thereof they shall be passed by two successive assem blies and then submitted to and ratified by a majority of the electors of the State voting thereon. On the 11th May, 1874, tho Governor convened an extra session of the General Assembly of the State, which, on the 18th of the same month passed an act providing for a convention to frame anew Constitution. Pursuant to his act, and at an election held on the 30th June, 1874, the Con vention was approved and delegates were chosen thereto, who assembled on the 14th of last July, and formed anew Constitution, the schedule of which pro vided for the election of an entire new set of State officers in a mannercontrary to the then existing election laws of the State. On the 13th October, 1874, this Constitution, as therein provided, was submitted to the people for their ap proval or rejection, and, according to the election returns, it was ap proved by a large majority of those qualified to vote thereon, and at the same election persons were chosen to fill all State, county and township offices. The Governor elected in 1872 for the term of four years turned over his office to the Governor chosen under the new Constitution, whereupon the Lieutenant-Governor, also elected in 1872 for a term of four years, claiming to act as Governor, and allaying that said proceedings, by which the new Consti tution was made and anew set of officers elected, were unconstitutional, illegal and void, called upon me as provid ed in section 4, article 4 of the Constitu tion, to protect the State against domes tic violence. As Congress is now inves tigating the political affairs of Arkansas I have declined to interfere. The whole subject of Executive interference with affairs of a State is repugnant to public opinion. The feeling of those who from their official capacity must be used in such interposition, and to him or those who must direct, unless most clearly on the side of law, such interference be comes a crime, and with the law to sup port it, is condemned without a hearing. I desire, therefore, that all necessity for Executive direction in local affairs may become unnecessary and obsolete. I invite the attention not of Congress but of the people of the United States to the causes and effects of these unhappy questions. Is there not a disposition on one side to magnify wrong and outrages and on the other side to belittle them or justify them? If .public opinion could be directed to a correct survey of what it is and to rebuking wrong and aiding the proper authorities in punishing it, a better state of feeling would be incul cated, and the sooner we would have that peace which would leave the States free indeed to regulate their own domes tic affairs. I believe, on the part of our citizens of the Southern States, the bet ter part of them, there is a disposition to be law-abiding and to do no violence either to individuals or to the laws exist ing. But do they do right in ignoring the existence of violence and bloodshed in resistance to constituted authority ? I sympathize with their prostrate condi tion and would do all in my power to relieve them, acknowledging that in some instances they have had most try ing governments to live under and very oppressed ones in the way of taxation for nominal improvements, not giving benefits equal to the hardships imposed. But can they proclaim themselves en tirely irresponsible for this condition ? They cannot. Violence has been ram pant in some localities, and has either been justified or denied by those who could have prevented it. The theory is even raised that there is to be no further interference on the part of the General Government to protect citizens within a State where the State authorities fail to give protection. This is a great mistake. While I remain Executive all the laws of Congress and the provisions of the Constitution, including the recent amendments added thereto, will be en forced with rigor, but with regret that they should have added one jot or tittle to Executive duties or powers. Let there be fairness in the discussion of Southern questions, the advocates of both or all political parties giving honest, truthful reports of occurrences, condemning the wrong and upholding the right, and soon all will be well. Un der existing conditions the negro votes the Republican ticket because he knows his friends are of that party. Many a good citizen votes the opposition ticket, not because he agrees with the great principles of state which separate par ties, but because generally he is opposed to negro rule. This is a most delusive cry. Treat the negro as a citizen and a voter, as he is, and must remain, and soon parties will divide, not on the color line, but on principles. Then we shall have no complaint of sectional interfer ence. The report of the Attorney-Gen eral contains valuable recommendations relating to the administration of justice in the Courts of the United States, to which I invite your attention. I re spectfully suggest to Congress the pro priety of increasing the number of judi cial districts in the Uniied States to eleven, the present number being nine, and the creation of two additional judge ships. The territory to be traversed by tho Circuit Jndges is so great and the business of the Courts so steadily in creasing that it is growing more and more impossible for them to keep up with the business requiring their atten tion. Whether this would involve the necessity of adding two more Justices of the Supreme Court to the present number, I submit to the judgment of Congress. The Indian Peace Policy. The attention of Congress is invited to report of the Secretary of the Inte rior, and to the legislation asked for by him. The domestic interests of the peo ple are more intimately connected with this department than with either of the other departments of the Government. Its duties have been added to from time to time until they have become so oner ous that withont the most perfect sys tem and order, it will be impossible for any Secretary of the Interior to keep trace of all official transactions having his sanction and done in his name, and for which he is held personally responsi ble. The policy adopted for the man agement of Indian affairs, known -as the “peace policy," has been adhered to with the most beneficial results. It is confidently hoped that a few years will relieve our frontier from danger of In dian depredations. Z commend the re commendation of the Secretary for the extension of the homestead laws to the Indians, and for some sort of territorial government for the Indian Territory. A great majority of the Indians occupying this territory are believed yet to be in capable of maintaining their rights agaiast the mere civilized aad en lightened white man. Any territorial form of government given them, there fore, should protect them in their homes and property for a period of at least twenty years, and before its final adop tion shonld be ratified by a majority of those effected. The report of the Sec retary of the Interior, herewith attach ed, gives much interesting statistical in formation, which I abstain from giving an abstract of, but refer you to the re port itself. ' The act of Congress pro viding the oath which pensioners must subscribe to before drawing their pen sions cuts off from this bounty a few survivors of the war of 1812, residing in the Southern States. I recommend the restoration of this bounty to all such. The number of persons whose names would thus be restored to the list of pensioners is not large. They are all old persons, who could have taken no part in the rebellion, and the services for which they were awarded their pen sions was in defense of the whole coun try. The Centennial. The report of the Commissioner of Agriculture, herewith, contains sugges tions of much interest to the general public, and refers to the approaching Centennial and the part his department is ready to take in it. I feel that the nation at large is interested in having this exposition a success, and commend to Congress such action as will secure a greater general interest in it. Already many foreign nations have signified their intention to be represented at it, and it may be expeoted that every civ ilized nation will be represented. Civil Service. The rules adopted to improve the Civil Service of the Government have been adhered to as closely as has been practicable with the opposition with which they meet. The effect, I believe, has been benfioial on the whole, and has tended to the elevation of the ser vice, but it is impracticable to maintain them without tfie direct and positive support of Congress. Generally the support which this reform receives is from those who give it their support only to find fault when the rules are appa rently departed from. Removals from office without preferring charges against parties removed are frequently cited as departures from the rules adopted, and the retention of those against whom charges are made by irresponsible per sons and without good grounds is also often condemned as a violation of them. Under these circumstances, therefore, I announce that if Congress adjourns withont positive legislation on the sub ject of Civil Service Reform I will regard such Action as a disapproval of the sys tem, and will abandon it except so for as to. require examinations for certain appointees to determine their fitness, and competive examinations will be abandoned. The gentlemen who have given their services without compensa tion as members of the board to devise rules and regulations for the govern ment of the Civil Service to the country have shown much zeal and earnestness in their work, and to them as well as to myself it will be a source of mortifi cation if it is thrown away. But I re peat that it is impossible to carry this system to a successful issue without general approval and assistance and a positive law to support it. Capital and Labor. I have stated that three elements of prosperity to the nation—capital, labor, skilled and unskilled, and products of the soil—remain with us. To direct the employment of these is a problem de serving the most serious attention of Congress. If employment can be given to ail the labor offering itself prosperity necessarily follows I have expressed the opinion and repeat it, that the first requisite to the accomplishment of this end is the substitution of a sound cur rency in place of one of a fluctuating value. This secured there are many in terests that might be fostered to the great profit of both labor and capital.— How to induce capital tojemploy labor is the question. The subject of cheap transportation has occupied the atten tion of Congress. Much new light on this question will, without doubt, be given by the committee appointed by the last Congress to investigate and report. A revival of ship building, and particularly of iron steamship building, is of vast importance to our national prosperity. The United States is now paying over one hundred millions per annum for freights and passage on for eign ships, to be carried abroad and ex pended in the employment and support of other peoples. Beyond a fair per centage of what should go to foreign vessels, estimating the tonnage and trav el of each respectively; it is to be re gretted that this disparity in the carry ing trade exists, and to correct it I would be willing to see a great departure from the usual Course of the Government in supporting what might usually be termed private enterprise. I would not sug gest as a remedy direct subsidy to Amer ican steamship lines, but I would sug gest the direct offer of ample compensa tion for carrying the mails between the Atlantic seaboard cities And the Conti-* nental on American owned and Ameri can built steamers, and would extend this liberality to vessels carrying the mails to go to American States and to Central America and Mexico, and would pursue the same policy from our Pacifio seaports to foreign ports on the Pacific. It might be demanded that vessels built for this service should come np to a standard fixed by legislation in tonnage, speed and all other qualities looking to the possibility of the Government requir ing them at some time for war purposes. The right, also, of taking possession of them in such an emergency should be guarded. I offer these suggestions be lieving them worthy of consideration in all seriousness, affecting all sections and all interests alike. If anything better can be done to direct the country into a coarse of general prosperity, no one will be more ready than I to second the plan. Tho District of Columbia. Forwarded herewith will be found the report of the Commissioners appointed under an act of Congress, approved Jhne 20th, 1874, to wind up the affairs Of the District government. It will be seen from the report that the net debt of the District of Columbia, less securities on hand and available, is : Bonded debt issued prior to July Ist, 1874, $8,883,- 940 43; the sixty-five bonds, by act of Congress of June 20, 1874, are $2,088,- 168 73 ; certificates of the board of audit, $4,770,558 45; total, $15,742,667 61; less special improvement assessments charge able to private property in excess of any demand against such assessments $1,614,- 054 37; less Chesapeake and Ohio Canal bonds, $75,000, and Washington and Alexandria Railroad bonds, $59,000. In the hands of the commissioners of the sinking fund, $1,748,054 37; leaving the actual debt less paid assets, $13,- 994,613 24. In addition to this there are claims preferred against the govern ment of the District amounting in the estimated aggregate reported by the Board of Audit to $3,141,787 48, of which the greater part will probably bo rejected. This snm can with no more propriety be included in the debt ac count of the District government than can the thousands of claims against the General Government be included as a portion of the national debt; but the ag gregate sum thus stated includes some thing more than the funded debt charge able exclusively to the District of Co lumbia. The act of Congress of Jane 20,1874, contemplates an apportionment between the United States Government and the District of Columbia in respect to the payment of the principal and in terest of the three sixty five bonds.— Therefore, in computing with precision the bonded debt of the District the ag gregate sums above stated as respects the three sixty-five bonds now issue.!, the outstanding certificates of the Board of Audit and the unadjusted claims pending before that Board should be reduced to the extent of the amount to be apportioned to the United States Government in the manner indicated in the act of Congress of June 20th, 1874. I especially invite your attention to the recommendations of the Commis sioners of the Sinking Fund relative to the ambiguity of the act of June 20th, 1874. With regard to the interest on the District bonds, and the consolida tion of the indebtedness of the District, I feel much indebted to the gentlemen who consented to leave their private af fairs and come from a distance to attend to the business of this District, and for the able and satisfactory manner in which it has been conducted. I am sure their services will be equally appre ciated by the entire country. It will be seen from the accompanying full re port of the Board of Health that the sanitary condition of the District is very satisfactory. In my opinion the Dis trict of Columbia should be regarded as the grounds of the National Capital, in which the entire people are interested. I do not allude to this to urge generous ap propropriations to the District, but to draw Ike attention ef Congress in fram- NUMBER 50. ing a law for the government of the District to the magnificent scale on which the cjty was planned by the founders of the’Government, the manner in which, for ornamental purposes, the reservation, streets and avenues were laid out, and the proportion of the prop erty actually possessed by the General Government. I think the proportion of the expenses of the Government and im provements to be borne by the General Government, the cities of Washing ton and Georgetown and the county should be carefully and equitably de fined. In accordance with Section 3, Act approved June 23d, 1874,1 appointed a Board to make a survey of the mouth of the Mississippi river, with a view to determine the best method of obtain ing and maintaining a depth oi water sufficient for the purposes of commerce, etc., and in accordance with an act entitled “an act to provide for the appointment of a Commission of Engineers to investigate and report a permanent plan for the reclamation of the alluvial basin of the Mississippi river subject to inundation,” I appoint ed a Commission of Engineers. Neither board has yet oompleted its labors. When their reports are received they will be forwarded to Congress without delay. U. S. Grant. In the Senate, the bill for the bettei government of the District of Colom bia was reported by Senator Morrill, of Maine, from the Joint Select Com mittee appointed for that purpose by Congress at its last session. It pro vides that a department shall be created in the Government of the United States, to be called the Department of the Dis trict of Columbia; that it shall have a corporate capacity; it is to be headed by a board of three regents to be appointed by the President and confirmed by the Senate and to the removal by the Presi dedt at any time for cause. In the House 238 of 301 members are present. Three new members were seated, Chittenden and Schell, of New York, and Carpenter, hailing from South Carolina. Phelps asked unanimous consent to introduce a bill repealing the newspaper gag law. Hall, of New York, objected. Garfield, from the Committee on Ap propriations, reported the legislative, executive and judicial appropriation bill, which was made the special order for Tuesday next. 'Hale, of Maine, from the same committee, reported the naval appropriation bill, which was made the special order for Wednesday next. — Wheeler, from the same committee, re ported the army appropriation bill, which was made the speoial order for Thursday next. Mr. Lough ridge, from the same committee, reported the Indian appropriation bill, which was made the special order for Friday next. Mr. Starkweather, from the same committee, reported the fortification bill, which was made,the speoial order for Tuesday, 22d of De cember. The amount of money appro priated by these several bills is as fol lows : Legislative bill, $19,655,434 ; navy, $16,976,006; army, $27,201,500; Indian, $4,861,507 ; fortifications, $850,000. Mr. Tyner, of Indiana, from the same com mittee, reported a bill appropriating $30,000 for the purchase of scales for the use of the Post Office Department in executing the law requiring prepayment of postage on newspapers. Mr. Cox, of New York, wanted to offer an amend ment excepting from the operation of the law cases where subscriptions were taken prior to Ist of January, 1875, and allowing to postpone in those cases and to be paid at the place of destination. Mr. Tyner deolined to allow the amend ment to be offered or spoken to by Mr. Cox, who intimated that in the next House he would have more privileges, to whioh Mr. Tyner replied that he (Ty ner) would not be there to see. [Laugh ter.] The bill was then passed. Mr. Cnx introduced a bill to carry out the object indicated by him, and it referred to the Post Offie Committee. Phelps, of New Jersey, gave notice that he would next Monday, if he got the floor, move to suspend the rules and pass the bill which he sought to intro duce and pass to-day to repeal the press gag law. The House then at 3 o’clock adjourned. , Washington, Deoember 8, noon.—ln the Senate a number of bills were intro duced. Among them one by Senator West providing for the entry of certain lands in Louisiana, which was refeayed to the Committee on Private Land Claims. House—Unimportant. Washington, December 9, p. m.—ln the Senate the type founders of various cities protest against the reciprocity treaty so far as regards type and type material. A memorial of the Texas Pa cific and the Atlantic and Pacific Rail roads praying Congress to aid those companies in the construction of their roads was received. * In presenting the memorial Senator Scott said it hud been placed in his hands by a citizen of Penn sylvania, who was President of the Texas and Pacifio Road. The memorial was accompanied by a bill which he (Scott) had not examined for want of time. He would present it to the Senate when in order, holding himself free to approve or reject it after examination The lum ber men protest against tho reciprocity treaty. The changes in committees are unimportant. The select committees on water routes to the sea and levees are continued. In the House the bill continuing the Board of Audit of the District was passed. In distributing the President’s message that portion relating to the troubles in Louisiana and other South ern States was referred to a select com mittee of seven. Mr. Thomas, of Vir ginia,. introdaced a bill removing the political disabilities of Edward Booker, of Henrico county, Virginia, which was passed. The President Pardons South Caro linians. The President has granted, pardons to be issued to-morrow, to John Whisonant and Jerome Whisonant, of South Caro lina, both convicted of Ku-Klux offenses, and sentenced each to five years’ impris ment at Albany and SIOO fine. They have served two years of their term. U. S. Supreme Court. In the Alabama Claims Court to-day, argument was resumed on case 87 as to the character of damages, the counsel for the Government taking the position that the Court had no jurisdiction in matters of personal injury by acts re sulting from the capture of Confederate cruisers. General Roberts spoke in op position. The decision will be rendered in a few days. Case 118, involving the vuestion of citizenship, naturalization, &c ; , will, with cases involving the same points, be argued to-morrow. It is probable that the hearing of cases will commence regularly next week, after the arguments on demurrers are closed. The McDuffie Journal says tho gin house of Mrs. E. F. Lamkiu, of Colum bia county, containing eight bales of cotton, was destroyed by fire Sunday night, and that it was evidently the work of an incendiary. And it further says : “Now, if our next Legislature, in place of spending their time and the people’s cash in discussing and passing foolish usury laws, will devise some means for protecting our planters from this whole sale destruction of property, from wlych they suffer every year, and will enaot some law by which the guilty scoundrels shall be brought to the halter, they can return to their constituents with a pon sciousuess of having done at least one valuable service for their conutry.” In view of the extraordinary number of gin honses wantonly burned by inoendiaries the Dext Legislature will doubtless change the present law, and make it a capital crime, punishable by death. The law against it is found in section 4,379 of the Code, and is as follows: “The willful and malicious burning of an out house of another, such as a barn, stable, or any other honso (except the dwelling house), on a farm or a plantation or elsewhere (not in a city, town or village), shall be punished by imprisonment and labor in the penitentiaty for any term not less thah two nor more than seven years.” ELECTRIC SPARKS. The Grand Turk gave SIO,OOO for the famine stricken of Angoria. Darrel’s printing establishment, the largest in France, was burned yesterday. Loss, $30,000. A large number of longshoremen have resumed work at.New York, saying the suffering of their families have claims paramount to the Union. Several persons dispensing drugs with out , having pharmaceutical diplomas were fined in Philadelphia. Dudley S. Gregory, the first Mayor of Jersey City, is dead, aged 75. He was a member cf Congress in 1846. A farmer named Klein was brutally murdered and robbed on Monday night, on the turnpike road, two miles from Soranton, Pa., by six men who lay in ambush far kirn.